Price of Grange houses goes up

Published 3:23 pm Tuesday, August 29, 2023

Residences at the Grange at 10Main development will cost more than originally estimated.

A June 3 update of the fiscal impact study Ted Figura Consulting prepared last year for Grange developer Joseph Luter IV’s holding company, LSMP LLC, now predicts a $685,500 price tag for the the 53 single-family detached homes proposed for the Grange, up 19% from the $575,000 cost forecast in 2022.

The duplex units are now estimated at $615,000, or 21% higher than the originally forecast sale price of $505,000.

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The proposed rent for units in the Grange’s three- and four-story apartment buildings didn’t see as big of a change.

According to the June 3 update, a one-bedroom apartment would rent for $1,550 per month, up 5% from the $1,475-per-month figure originally forecast. A three-bedroom unit would rent for $2,200 per month, or 4.7% higher than the $2,100-per-month rate estimated in 2022.

“The quality of this development will be superior and more costly than other nearby developments because of our family’s love and commitment to improving the amenities and charm of the town,” Luter wrote on Aug. 18 in response to a list of questions Smithfield Town Manager Michael Stallings had sent him from Town Council members. The council is slated to meet with Luter and his design team at an Aug. 31 work session and vote on Luter’s request for mixed-use zoning at its Sept. 5 meeting.

According to the June 3 version of the study, all residences will have “high-end finishes designed to appeal to a sophisticated market.”

“The apartments, in particular, will provide a number of unique amenities not found elsewhere within Isle of Wight County,” it states.

Luter, in an Aug. 28 email to The Smithfield Times, said pricing will be driven by construction costs, which are higher today than originally anticipated.

“We hope costs will come down,” he said.

The estimated cost of the single-family homes is more than double the 2017 through 2021 median value of owner-occupied homes in Smithfield, according to U.S. Census data.

The starting rent for an apartment at the Grange would be 57% higher than the median $985 monthly rent the Census Bureau lists for Smithfield for the same five-year window.